ABC Corp. has 10,000 bonds outstanding that are selling at 110.The bonds cost is %7. The company also has 40,000 shares of 7 percent preferred stock and 50,000 shares of common stock outstanding. The preferred stock sells for $50 a share. The common stock has a beta of 1.5 and sells for $60 a share. The U.S. Treasury bill is yielding 4 percent and the return on the market is 12 percent The corporate tax rate is 40 percent. What is the firm's weighted average cost of capital ?